WS
WST
Jun 30, 2025
Quarter ended Jun 30, 2025 · FY2025 Q2

West Pharmaceutical Services, Inc. stock research

West Pharmaceutical Services (WST) Free Cash Flow — Quarter Ended Jun 30, 2025

Free cash flow improved substantially compared to both the prior quarter and the same quarter last year, driven by higher operating cash flow and a lower capital expenditure relative to the year-ago period. The free cash flow margin expanded, reflecting stronger cash conversion from revenue.

Free cash flow takeaway

A quick read on the company's cash generation and what it means for investors.

Free cash flow improved substantially compared to both the prior quarter and the same quarter last year, driven by higher operating cash flow and a lower capital expenditure relative to the year-ago period. The free cash flow margin expanded, reflecting stronger cash conversion from revenue.

  • Revenue increased, and operating cash flow grew at a larger rate, resulting in a higher free cash flow. Capital expenditure decreased compared to the year-ago quarter, further boosting free cash flow. The free cash flow margin improved, indicating more efficient cash generation per dollar of revenue.
  • Compared to the prior quarter, all metrics improved: revenue, operating cash flow, and free cash flow were higher, and the margin increased. Versus the same quarter last year, revenue and operating cash flow were higher, capital expenditure was lower, and free cash flow and margin were significantly higher.

FCF snapshot

Quarterly and TTM cash-flow metrics with the minimum valuation context.

TTM free cash flow

$344.0M

Trailing twelve-month free cash flow.

Quarter free cash flow

$101.9M

Free cash flow in the selected fiscal quarter.

Operating cash flow

$177.1M

Cash generated by operations before capital spending.

CapEx

$75.2M

Capital spending and related asset purchases.

FCF margin

13.3%

The share of revenue converted into free cash flow.

Cash flow trend

A short quarterly history shows whether FCF is scaling with revenue or only spiking for one period.

PeriodRevenueOperating CFCapExFCFFCF margin
2024-09-30$746.9M$180.1M$81.3M$98.8M13.2%
2024-12-31$748.8M$190.1M$104.9M$85.2M11.4%
2025-03-31$698.0M$129.4M$71.3M$58.1M8.3%
2025-06-30$766.5M$177.1M$75.2M$101.9M13.3%

Cash conversion quality

Checks that separate high-quality free cash flow from accounting noise or working-capital timing.

FCF / net income77.3%Shows whether accounting earnings convert into cash.
CapEx / revenue9.8%Lower capital intensity usually supports FCF margin.
Net cash$307.1MCash and equivalents minus total debt.

Recent events shaping cash flow

Near-term business events that help explain the free cash flow result.

Supportive

Operating Cash Flow Strength

Operating cash flow rose more than proportionally to revenue, and capital expenditure was lower than the prior year, enabling free cash flow to outpace those comparisons.

The quarter's free cash flow was substantially higher than both the previous quarter and the same quarter last year.

What the cash flow says

How to interpret the company's free cash flow beyond the headline number.

Revenue increased, and operating cash flow grew at a larger rate, resulting in a higher free cash flow. Capital expenditure decreased compared to the year-ago quarter, further boosting free cash flow. The free cash flow margin improved, indicating more efficient cash generation per dollar of revenue.

Compared to the prior quarter, all metrics improved: revenue, operating cash flow, and free cash flow were higher, and the margin increased. Versus the same quarter last year, revenue and operating cash flow were higher, capital expenditure was lower, and free cash flow and margin were significantly higher.

Capital expenditure, which increased from the prior quarter but remained below the year-ago level, is a key figure to monitor for future free cash flow trends.